Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam

Vietnam coffee sector plays a crucial role not only in the country’s economy but also in the global coffee market, and improving coffee production efficiency may benefit coffee producers. However, small-holder coffee farming households still encounter many difficulties regarding resources and socio-...

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Những tác giả chính: Ho, Quoc Thong, Tuyet, Hoa Niekdam
Định dạng: Bài viết
Ngôn ngữ:English
Được phát hành: University of Economics Ho Chi Minh City 2023
Truy cập trực tuyến:http://jabes.ueh.edu.vn/Home/SearchArticle?article_Id=3d33b1b7-ac74-4ef0-9480-7964a96fa6df
https://scholar.dlu.edu.vn/thuvienso/handle/DLU123456789/115511
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spelling oai:scholar.dlu.edu.vn:DLU123456789-1155112023-03-08T03:56:37Z Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam Ho, Quoc Thong Tuyet, Hoa Niekdam Vietnam coffee sector plays a crucial role not only in the country’s economy but also in the global coffee market, and improving coffee production efficiency may benefit coffee producers. However, small-holder coffee farming households still encounter many difficulties regarding resources and socio-economic conditions affecting coffee production efficiency. This study examines relationships among income diversification, rural credit loan, labor dependence, and technical efficiency in coffee production through a face-to-face survey with participation of 143 coffee farming households conducted in Cu M’gar District, Dak Lak Province, Vietnam. The stochastic frontier model shows that the mean of technical efficiency scores is 0.64, and it also verifies the existence of inefficiency variation. Both Maximum Likelihood Estimate (MLE) and Feasible Generalized Least Square (FGLS) consistently indicate that a higher level of diversity in income sources negatively affects coffee production efficiency. Additionally, independence in labor resource for coffee farming may help farmers increase technical efficiency of coffee production. Credit loan has a positive and statistically significant relationship with technical efficiency of coffee production. These relationships hold especially true for smallholder coffee farms with ethnic minority household heads. The policy options of credit loan access, intensive investment in coffee production rather than diversification of coffee farmers’ income sources, and independent management strategies for labor sources are suggested as an integrated approach to improve technical efficiency in coffee production of smallholder coffee farms. 2023-03-08T03:56:37Z 2023-03-08T03:56:37Z 2016 Article 2615-9112 http://jabes.ueh.edu.vn/Home/SearchArticle?article_Id=3d33b1b7-ac74-4ef0-9480-7964a96fa6df https://scholar.dlu.edu.vn/thuvienso/handle/DLU123456789/115511 10.24311/jabes/2016.23.4.04 en Journal of Asian Business and Economic Studies, Volume 23, Issue 04; p. 22-41 application/pdf University of Economics Ho Chi Minh City
institution Thư viện Trường Đại học Đà Lạt
collection Thư viện số
language English
description Vietnam coffee sector plays a crucial role not only in the country’s economy but also in the global coffee market, and improving coffee production efficiency may benefit coffee producers. However, small-holder coffee farming households still encounter many difficulties regarding resources and socio-economic conditions affecting coffee production efficiency. This study examines relationships among income diversification, rural credit loan, labor dependence, and technical efficiency in coffee production through a face-to-face survey with participation of 143 coffee farming households conducted in Cu M’gar District, Dak Lak Province, Vietnam. The stochastic frontier model shows that the mean of technical efficiency scores is 0.64, and it also verifies the existence of inefficiency variation. Both Maximum Likelihood Estimate (MLE) and Feasible Generalized Least Square (FGLS) consistently indicate that a higher level of diversity in income sources negatively affects coffee production efficiency. Additionally, independence in labor resource for coffee farming may help farmers increase technical efficiency of coffee production. Credit loan has a positive and statistically significant relationship with technical efficiency of coffee production. These relationships hold especially true for smallholder coffee farms with ethnic minority household heads. The policy options of credit loan access, intensive investment in coffee production rather than diversification of coffee farmers’ income sources, and independent management strategies for labor sources are suggested as an integrated approach to improve technical efficiency in coffee production of smallholder coffee farms.
format Article
author Ho, Quoc Thong
Tuyet, Hoa Niekdam
spellingShingle Ho, Quoc Thong
Tuyet, Hoa Niekdam
Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam
author_facet Ho, Quoc Thong
Tuyet, Hoa Niekdam
author_sort Ho, Quoc Thong
title Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam
title_short Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam
title_full Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam
title_fullStr Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam
title_full_unstemmed Labor Dependence, Income Diversification, Rural Credit, and Technical Efficiency of Small-Holder Coffee Farms: A Case Study of Cu M'gar District, Dak Lak Province, Vietnam
title_sort labor dependence, income diversification, rural credit, and technical efficiency of small-holder coffee farms: a case study of cu m'gar district, dak lak province, vietnam
publisher University of Economics Ho Chi Minh City
publishDate 2023
url http://jabes.ueh.edu.vn/Home/SearchArticle?article_Id=3d33b1b7-ac74-4ef0-9480-7964a96fa6df
https://scholar.dlu.edu.vn/thuvienso/handle/DLU123456789/115511
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